New Porch Tax Implications (expense,capital,partial disposition)
I just had a new 3 story porch installed on a 4-unit residential building for $18k. This included the cost of demolition / disposal of the old one and construction / materials of the new one.
1. Can I expense the cost of the demolition and disposal or does this need to be capitalized?
2. Can I take a partial disposition against the building basis that included the old porch? If so, how do I calculate the value of the old deck?
3. How many years should I be depreciating the new PT wood construction deck over?